[J.P. Morgan: Dollar Weakness Driven by Short-Term Sentiment, Bitcoin Still Viewed as a Risk Asset] According to CoinDesk, despite the U.S. Dollar Index (DXY) dropping 10% over the past year and hard assets like gold rising due to dollar weakness, Bitcoin has underperformed, with its price falling 13%. J.P. Morgan Private Bank believes that the current dollar weakness is primarily driven by short-term capital flows and market sentiment, rather than changes in economic growth or monetary policy expectations. Since the market does not view the dollar's decline as a lasting macroeconomic shift, Bitcoin is still considered a liquidity-sensitive risk asset rather than a reliable hedge against the dollar. In contrast, gold and emerging market assets have become the preferred beneficiaries of dollar diversification.